DoLE issues scam alert

DOLE secretary Silvestre Bello III signs the new department order on contracting and subcontracting during a press conference at the DOLE main office in Manila on March 16, 2017. Photo by Ben Nabong/Rappler

The Department of Labor and Employment (DoLE) on Saturday issued a warning to the public after uncovering a scam using fake certificates to allow recruitment agencies to withdraw their escrow deposits.

Recruitment agencies are allowed to set-up an escrow account to cover possible future liabilities arising from claims of overseas contract workers due to employment contract violations.

Deposited in a POEA-accredited bank, the escrow fund may be released upon order by either the Philippine Overseas Employment Administration (POEA) or the National Labor Relations Commission.

Labor Secretary Silvestre Bello III said they issued a warning following reports some recruitment agencies are using falsified “certificate of no pending appealed case” to withdraw their escrow deposits.

A DoLE-issued certification of “no pending POEA case on appeal” is needed for recruitment agencies to withdraw escrow deposits.

“We are informing the public that a falsified ‘Certification of No Pending Appealed POEA case’ allegedly issued by the labor department’s Employment Legal Service has been circulating and is being used by unknown individuals in withdrawing escrow deposits of certain recruitment agencies,” Bello said.

He advised the public to be more prudent and cautious in dealing with persons or entities presenting such certificates and report the same to the department.

Bello noted that at least two recruitment firms wrote to DoLE inquiring about the authenticity of a certification allegedly issued by the Legal Service and was purportedly used to withdraw an escrow deposit.

A thorough investigation showed the certification to be bogus and that the supposed signatory of the document is no longer connected with the labor department.